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a. Maintenance costs for the fermentation units in a Kalona biofuel production plant are expected to be $80,000 three years from now and another $95,000 six years from now. If Kalona biofuel product plant wants to set aside enough money now to cover these costs, how much must be invested at an interest rate of 8% per year compounded semiannually?
b. An interest rate of 12% per year compounded quarterly is equivalent to what effective interest rate per year?
Suppose Philip Morris and R.J. Reynolds can write an enforceable contract about illustrate what y will do. Illustrate what is cooperative solution to this game.
Is inflation: High, Moderate, or Low? Is unemployment: High, Moderate or Low; what is the unemployment rate? Are interest rates: High, Moderate, or Low? Is the economy in: Growth, Stagnation, or Recession?
What is the Nash equilibrium of this pricing game? Is there a better solution to this game? If so, what mechanisms would you advise General Electric or Westington to put in place to increase the likelihood that both parties agree to the better soluti..
If economists wish to determine relative factor abundance across countries, why don’t they simply calculate w/r ratios across countries and then compare these ratios?
Suppose that the economy is in long run equilibrium, producing the full employment level of output. Now suppose that workers and firms come to expect the Fed to embark on expansionary policy to increase the level of output. Use the graph below to ill..
What can you infer about expected change in the exchange rate between the Canadian dollar and the U.S. dollar? A friend proposes a get-rich-quick scheme.
Illustrate what is the difference among a command economy also a market economy.
Which of the following tends to make aggregate demand shift right farther than the amount that government expenditures increase?
Which of the following is an example of adverse selection?
What explains that ATC is U-shaped for two reasons. The first is the existence of diminishing marginal product.
Suppose disposable income increases by $2,000. As a result, consumption increases by $1,500. Answer the following questions based on this information. Where appropriate, enter your answer as a decimal rather than as a percentage. The increase in savi..
INCOME QUANTITY PURCHASED Automobiles Coffee Tea $45,000 4 8 5 $30,000 2 10 10 Refer to table above. What is the income elasticity of demand for coffee?
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